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The Liberal Welfare Reforms

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The Liberal Welfare Reforms The Liberal Welfare Reforms 1906-1914 E x a m Q u e s t i o n s There are three main types of questions on this topic CAUSE: Why were the reforms passed - political necessity or social concern? EXTENT: How far had British governments moved away from laissez-faire? CONSEQUENCES: How far had the Liberal government dealt with the problems of poverty/improved the lives of the people? Why Were the Reforms Passed? Move away from laissez-faire from 1870s Pressure from Reports on Poverty Examples of other countries National Security National Efficiency Political Developments and Pragmatism New Liberalism Key Individuals Move away from laissez-faire In the later part of the 19th century there had been a move away from the principles of laissez-faire, “self-help” and individualism towards government intervention. This was due to several periods of severe economic depression and the gradual acceptance that poverty was not simply the fault of the poor themselves. These reforms covered such areas as education (Education Act 1891), Public Health Acts, housing (Housing Act 1890) and protection at work (Workmen’s Compensation Acts 1897,1900) Reports on Poverty: Charles Booth Extensive, objective and factual report into “The Lives and Labour of the People of London.” from 1886 to 1903. Revealed that 30% of people were living below his “poverty line” - minimum income of £0.90 to £1.05 a week for a family with three children. Only 3% out of that 30% were getting Poor Law help. Reports on Poverty: Seebohm Rowntree Investigated poverty in York in his “Poverty a Study of Town Life” in 1901. Used Booth’s “poverty line” and defined Primary poverty (not enough income for basic needs) and Secondary poverty (enough income , but wasted) Found 27.8 % of people were living in poverty - almost the same figure as Booth’s for London Proof that this was not a problem restricted to London. Importance of Booth and Rowntree They both studied the causes of poverty and found that the factors were mainly outside the control of the individual, and could not therefore be tackled by self-help. Found main causes were not: Found that main causes were: laziness casual labour drunkenness low pay gambling unemployment ill health old age Children in the large families slums of York Examples of Other Countries Leading Liberals were impressed and influenced by advances in other countries such as Germany’s military strength and social legislation. Bismarck introduced sickness and accident insurance and old age pension schemes in the 1880s to counter the growth of socialism in Germany. National Security When the Boer War in South Africa started in 1899 volunteers rushed to join up, but almost 25% of them were rejected as unfit as a result poor diet and living conditions. If men of military age were so unfit and unhealthy, the government worried about Britain’s future ability to There was also a need to tackle the annual defend itself against a deaths of 75,000 from T.B. stronger enemy. Rejection from the Army: 1891-1902 National Efficiency By the end of the 19th century, Britain was no longer the world’s strongest industrial nation and was facing serious competition from new industrial nations such as Germany and USA. Some politicians thought that the workforce had to be better educated and healthier to improve our national efficiency and compete with these countries P o l i t i c a l D e v e l o p m e n t s a n d P r a g m a t i s m Most working class men had been given the vote by the 1867 and 1884 Reform Acts and the Liberals had to compete with the Conservatives to attract these votes. In the late 19th century the trade unions were growing in power and were demanding social reform for the working classes. By 1906 the new Labour Party was becoming a serious threat to the Liberals and if they were to remain a dominant political force they would have to introduce real social reforms to meet the needs of the working classes. New Liberalism It would be too harsh to say that the Liberals introduced these reforms simply to win votes. When the “old Liberal”Prime Minister Campbell- Bannerman died in 1908... ... he was replaced by Herbert Asquith and “New Liberalism” was introduced which marked a move away from laissez-faire towards limited state intervention for humanitarian reasons. Key Individuals With Herbert Asquith as Prime Minister some important appointments were made to the Cabinet who had “interventionist” ideas and they helped to introduce these reforms: David Lloyd George as Chancellor of the Exchequer and Winston Churchill as President of the Board of Trade Key Liberal Ministers The Reforms “Yous(e)” Better Not Forget This! The Liberal Reforms 1906-1914 Young Old Unemployed Sick Employed The Young From 1906 local education authorities were allowed to provide free school meals to needy children. This became compulsory in 1914. In 1907 School Medical Inspections started - but it was not until 1912 that free medical treatment was available. 1908 - “Children’s Charter” Borstals or probation for young offenders rather that adult prisons. Identity of young offenders to be kept secret. Sale of alcohol and cigarettes to young people restricted. Children to be protected from cruelty and corruption - parents guilty of neglect could be fined. School Medical Inspection Verdict - Young Good Bad The state had taken a big step towards Medical inspections did little to solve taking responsibility for the health of the problems they discovered - it was the people and had struck a blow not until free medical treatment against the idea of ‘self-help’. started in 1912 that these problems could be dealt with. Researchers found that during school holidays growth of poor children Attempts at protecting children from slowed - suggests that school meals ‘social evils’ of smoking and drinking were an important part in the health had limited success. of poor children They did protect children from abuse The Old Workhouses remained In 1908 Old Age Pensions were introduced for those over 70 on an income of less than £21 a year 5 shillings (25p) a week for a single person and 37½p for a married couple. Less was paid to better off - those with over £31.50 income a year got nothing. We’re so happy! Not all the elderly poor qualified - those who had not worked, had criminal records or were habitually drunk were disqualified. Verdict - Old Good Bad Old Age Pension did give some help to As Rowntree had calculated that the the elderly poor. poverty line for an individual was 35p a week and the pension only paid 25p, then it was not enough to live on - it Old people did not have to make a was a ‘top-up’ only. contribution to receive the pension. It was not a universal benefit with OAPs being means-tested to assess The pension was collected at the Post how much help they should get. Office and there was no stigma attached Many old people died before reaching to this. 70. Many old people needed help long before reaching 70. The Unemployed “The problem of unemployment lies at the root of most of the other social problems” (William Beveridge - Adviser to Lloyd-George) Labour Exchanges: started in 1909 to put workers in touch with jobs in their area. National Insurance Act (Pt. 2), Unemployment Benefit: 1911 - made insurance compulsory for low-paid workers in insecure and seasonal trades e.g. building. Covered 2.5 million workers. Workers, employers and state made weekly contributions. Unemployed worker got 35p a week for up to 15 weeks Clydebank Labour Exchange in any one year. National Insurance Act 1911 Part 2: Unemployment Benefit Verdict - Unemployed Good Bad Insurance Act was highly original - Labour Exchange scheme was no other scheme like it in the world. voluntary. Only 400 by 1914. Workers did not have to register. No distinction made between deserving Employers did not have to inform and undeserving - removed stigma and exchanges of vacancies. undermined idea of ‘self-help’. Insurance Act provided no cover for the rest of the family - only the Act recognised that unemployment had contributor. complex causes. Provided cover for only a limited period - Poor Law had to be used thereafter. Covered a very limited number of industries The Employed While the Liberal Reforms are mainly about the weak and needy, there were some reforms which helped those in work. The Workman’s Compensation Act, 1906: Extended earlier acts. Coal Mines Act, 1908: Limited working day in mines to 8 hours. Trade Boards Act, 1909: Boards set up to fix minimum wage rates in “sweated industries” such as tailoring. Shops Act, 1911: Gave shop worker a half-day a week holiday and a maximum 60 hour week. The National Insurance Act (Pt 1), Sickness Benefit, 1911 All workers earning less The Sick than £160 p.a. had to contribute 4d, his employer 3d and the state 2d (ninepence for fourpence). Insured worker got 10 shillings (50p) for 13 weeks and 5 shillings (25p) for 13 weeks if off work sick. Free medical treatment for worker. 30 shillings maternity benefit for each child born. Verdict - The Sick Good Bad Workers made contribution to the After using up 26 week entitlement National Insurance scheme thereby worker had to rely on the Poor Law retaining their respectability and not once more. relying on ‘getting something for nothing’. Only the insured worker received the free medical treatment - it did not Illness and absence from work were apply to any of the rest of the family.
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